Labor’s Top 10 Welfare Policies If Re-elected — As Sydney Auction Clearance Rate at 66%

Week’s Key Focus

Top 10 Welfare Reforms Labor Promises After Re-election

May 4, 2025 — According to the Daily Mail Australia, following the Albanese government’s successful re-election, Australian voters are closely watching whether a broad range of people-focused policies will be delivered as promised. These include support for first home buyers, student debt relief, personal income tax cuts, energy subsidies, childcare assistance, and minimum wage adjustments. While some measures are not due to start until 2026, public anticipation is building quickly.

🏠 1. First Home Buyer Support

Effective: January 2026

All first home buyers will become eligible, regardless of income.
Buyers will need only a 5% deposit, with the government guaranteeing the remaining 15%.
This removes the need for costly Lenders Mortgage Insurance (LMI).
Property price caps for eligibility will increase significantly:
- Sydney: from $900,000 to $1.5 million
- Brisbane: from $700,000 to $1 million
- Melbourne: from $800,000 to $950,000
- Other cities including Perth, Adelaide, and Canberra will also see higher thresholds.

👉 This policy aims to reduce the “urban sprawl trap” many first home buyers currently face.

🎓 2. Student Debt Reduction & Repayment Threshold Reform

A 20% cut to student loan balances (HECS/HELP), averaging $5,520 per person — totaling $16 billion nationally.
Repayment threshold to rise from $54,000 to $67,000.
- For example, someone earning $70,000 would repay $1,300 less annually.
Indexation reform to better align with wage growth or inflation.

💰 3. Personal Income Tax Cuts

Phased implementation from July 2026

Financial Year	Income Bracket	Old Rate	New Rate	Tax Saving
2026–27	$18,201–$45,000	16%	15%	$268
2027–28	Same	15%	14%	+$268

📌 Example:
An Australian earning $72,592 will save $1,762 in 2026–27 and $2,030 annually from 2027–28 onward.
Anyone earning above $45,000 will benefit.

📑 4. No Receipts? You Can Still Claim Work Deductions

From 1 July 2026, Australians will be able to claim up to $1,000 in work-related deductions without receipts, replacing the current $300 cap.
Expected to save individuals an average of $205 annually and reduce overall tax revenue by $2.4 billion over three years.

🚗 5. EV Tax Breaks to Continue

Under a novated lease scheme, electric vehicles priced under $91,387 will remain exempt from fringe benefits tax.
Employees can save up to $4,700 annually through salary packaging.
Popular models like Tesla Model 3 and Model Y are eligible.
Manufacturers may face penalties for high-emission vehicle sales — further encouraging EV price drops.

🔌 6. Electricity Subsidy Extended

Two additional $75 electricity rebates will be provided in late 2025 to help households manage rising power bills.

👶 7. Childcare Relief

Families earning up to $533,000 annually will receive at least three days a week of affordable childcare, now legally guaranteed.

🧓 8. Aged Care & Minimum Wage Boost

$2.6 billion allocated to increase wages for around 60,000 aged care nurses.
The Fair Work Commission is tasked with delivering real wage increases to 3 million+ low-paid workers.
- If adjusted in line with 2.4% inflation, the minimum hourly wage would rise from $24.10 to $24.68.
Estimated impact:
- 180,000 minimum wage earners
- 2.6 million workers under industry awards

🛠️ 9. Apprentice & Trades Support

Apprentices in the construction sector to receive a $10,000 cash bonus.
Employers prioritising apprentices will get a $5,000 subsidy.

☀️ 10. Solar Battery Rebate

All households will be eligible for up to $4,000 in solar battery rebates, aimed at promoting renewable energy use.

Despite some policies taking effect from 2026 onwards, voters are already paying close attention to the rollout. With promises spanning housing, education, tax relief, and energy, Labor’s post-election commitments are set to become a key test of the government’s credibility and delivery capacity.

Auction Results Last Week

Sydney:726 properties were scheduled for auction, with 431 results reported and 286 sold, resulting in a clearance rate of 66%.The total auction value reached AUD 322,812,888, with a median house price of AUD 1,500,000.
Melbourne:775 properties were scheduled for auction, with 480 results reported and 349 sold, resulting in a clearance rate of 73%.The total auction value reached AUD 251,796,276, with a median house price of AUD 820,000.